Uber

Risay117 | Heroic Unstoppable!
 
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Uber

Okay, this is a question i have been having a hard time grappling with. Is Uber a taxi company like the cabs you choose or a company that just provides an app. Why i am asking is because i am not sure if the drivers can be considered employee's or contractors.

Because if Uber has the right to control how drivers do business (Example). Then are the drivers considered employees of the company?



 
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This is the way the world ends. Not with a bang but a whimper.
Uber drivers are pretty much unequivocally employees.

See Uber v. Berwick.

1) The Driver could not perform the work without Uber's permission as an intermediary b/t the Driver & Customer.

2) The Driver has no investment in the business beyond using a car for business purposes [as pizza delivery employees and others do, and are reimbursed by their employer] and a deposit for an iPhone [which is customary for company property that is taken off premises, and occurs in other industries such as uniforms for fast food employees].

3) There is no managerial skills that affect profit or loss. Uber is the only party exercising this control.

4) The Driver has no control over pricing and is discouraged from being tipped. Uber sets prices as an employer would.

5) Uber effectively "hires" drivers via its vetting process, background checks, and other QA mechanisms to decide which drivers should be allowed to use the platform. It also "fires" drivers who fail to meet Uber's QA standards.

6) The Driver cannot subcontract in any meaningful way.

This shouldn't be surprising that even 2-3 of these things would be enough to trigger "employee status". Particularly price setting, choice of equipment, and choice of subcontractor are all 100% required to be classified as a contractor. A lack of any of these things immediately flips you to an employee. A lack of all 3 in this situation pretty much makes it a no brainer.
Last Edit: June 20, 2015, 12:53:18 PM by Meta Cognition


Turkey | Mythic Inconceivable!
 
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There's court precedence for drivers being employees, but so far it isn't applicable to anyone but a single driver.


 
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This is the way the world ends. Not with a bang but a whimper.
To be honest this is a pretty good example of why we ought to cut back on labour market regulation. Uber drivers are employees any way you look at it, but it's quite clear that the current arrangement (where they're kind of treated as contractors) is preferable for both the company and the "employees", and a good business model.

Just fucking leave them be, they're providing a good service as they are.


 
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This is the way the world ends. Not with a bang but a whimper.
More taxes for the world government


ayyy lmao


Risay117 | Heroic Unstoppable!
 
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To be honest this is a pretty good example of why we ought to cut back on labour market regulation. Uber drivers are employees any way you look at it, but it's quite clear that the current arrangement (where they're kind of treated as contractors) is preferable for both the company and the "employees", and a good business model.

Just fucking leave them be, they're providing a good service as they are.
But i heard one of the biggest argument is that other taxi companies cannot compete. And the main excuse they give is that unlike Uber thy have higher capital cost for the same service.

These include insurance, license, permits and the kind.

Though what i am saying is protectionist in a sense, i really do wonder if with time, something really stupid will occur that will force Uber to slowly become a taxi company.

Honesrtly i hate the taxi system where there are draws or permits that drivers fight for and use to gain revenue. I also wonder if cities may start to lose a revenue stream and may start cracking down on Uber.


 
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This is the way the world ends. Not with a bang but a whimper.
But i heard one of the biggest argument is that other taxi companies cannot compete.
Good.

That's a sign that Uber is providing a better service.


Risay117 | Heroic Unstoppable!
 
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But i heard one of the biggest argument is that other taxi companies cannot compete.
Good.

That's a sign that Uber is providing a better service.
The question though, is it because they can skirt the laws and regulations that taxi companies have to deal with, or that they are a preferred option and have a better revenue model. I really want to see the regulations on taxi companies be lifted and see how they deal with less government interference and protectionism.


Mad Max | Mythic Invincible!
 
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When existing companies claim they can't compete and want the new company shut down, that's usually a sign that the new company is onto something good.


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I've heard that Uber drivers have been accused of stalking their clients. Seems like a weird company.


 
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This is not the greatest sig in the world, no. This is just a tribute.
When existing companies claim they can't compete and want the new company shut down, that's usually a sign that the new company is onto something good.
And that "something good" is really just a way to skirt around the insurance and licensing that actual cab companies/drivers legally have to obtain.


Mad Max | Mythic Invincible!
 
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When existing companies claim they can't compete and want the new company shut down, that's usually a sign that the new company is onto something good.
And that "something good" is really just a way to skirt around the insurance and licensing that actual cab companies/drivers legally have to obtain.
well maybe cab insurance and licensing is just artificially inflated and cabs don't suit the needs of the consumer anymore. Supply and demand.


 
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This is not the greatest sig in the world, no. This is just a tribute.
When existing companies claim they can't compete and want the new company shut down, that's usually a sign that the new company is onto something good.
And that "something good" is really just a way to skirt around the insurance and licensing that actual cab companies/drivers legally have to obtain.
well maybe cab insurance and licensing is just artificially inflated and cabs don't suit the needs of the consumer anymore. Supply and demand.
Take that up with the state then.

I figure services like Uber, Lyft and similar ride share apps where the driver is essentially an employee of the company which manages the app are either going to be forced by law into the same standards as conventional taxi services, or (and this I don't see happening) taxis will become more deregulated as companies lobby governments to allow them to be competitive in a market designed to restrict them.